The country’s dominant service sector has just experienced its best month since January, with Britain’s economy now described as “resiliently robust” by leading expert.
This means that, against all the predicted odds, we have defied fears of a slump post Brexit vote and furthermore that we are performing better than the G7 nations, the US, France, Germany, Italy, Japan and Canada.
Meanwhile the governor of the Bank of England Mark Carney has talked about the “uneven gains from trade and technology” and said that ” the combination of open markets and technology” means great rewards for the ” famous or fortunate, but what of the frustrated and frightened?”
52% of UK companies are now run from home
A major factor contributing to the unexpected strength of the service sector is undoubtedly the rise in the number of home based businesses; companies run by ordinary people who are working hard and determined to earn their due share of economic growth.
In fact 52 per cent – or 2.75 million – of the businesses registered in the UK today are run from home** They will collectively generate around £94bn this year, which will equate to just under 6 per cent of the total value of British economic output.
Technology drives home based business growth
Advances in technology such as cloud based file sharing, smart phones and social media mean that it’s ever easier to run a business from home. You simply don’t need a big office or a dozen staff to start up a business – you just need an idea that works and the passion and drive to make it happen.
Business marketplaces like Etsy and notonthehighstreet have sprung up and now specialise in supporting independent, largely home-based businesses, while some great British business success stories – from Tangle Teezer to the Cambridge Satchel Company – started life in the founder’s bedroom or kitchen.
The new fiscal landscape means that ordinary people and millions of other start-ups can now play a part in and have a fair share of the country’s economic growth through home based businesses.
Founder, Rachel Ray started Bright & Beautiful in 2007 from home with a budget of £200. It has now grown to a network of 50+ franchise businesses employing over 500 housekeepers nationwide. On the whole these businesses are still run from home by each franchise owner, something that means a reduction in office overheads as well as time efficiency and reduced stress for the business owner due to a lack of commute.
*Alan Clarke from Scotiabank commenting in The Times on surveys released this week
**Study conducted jointly by the Centre for Economics and Business Research, a think tank, and the cloud computing company Vonage